By Dhirendra Tripathi
Investing.com – Boeing stock (NYSE:) fell 1.3% Tuesday as the manufacturer’s fresh forecast for jet demand underwhelmed.
The American plane maker sees 43,610 commercial jet deliveries worth $7.2 trillion over 20 years, an increase of 500 units from the 43,110 projected a year ago.
But the market was more focused on the shorter 10-year horizon, which the company said is likely to see 19,330 deliveries, still short of the forecast it gave in 2019 even as it is narrower from the 11% gap seen a year back.
Passenger traffic growth is projected to grow by 4% per year, unchanged from last year’s forecast but slower than the 5% growth the segment grew by at its peak around 2015.
Boeing cut its 20-year demand forecast for freighter planes to 890 units from the 930 it gave a year ago.
Demand for more than 32,500 new single-aisle planes is about equal to the pre-pandemic outlook. These models continue to command 75% of deliveries in the 20-year forecast, the company said.
Carriers will need more than 7,500 new widebody airplanes by 2040 to support fleet renewal and long-term passenger and air cargo demand growth in longer-haul markets. These projections are up slightly compared to 2020 but remain down 8% from 2019, according to the company.